Oceana National Budget Act 2011
The Oceana National Budget Act 2011 (O.B.2) was the first Budget passed by the Parliament of Oceana. Introduced by Minister of Finance James Livingstone, it set total government spending at A50 billion, and relatively low rates of income and corporation tax, offset by relatively high sales tax. A minimum wage was set at A7 per hour. Text of the Bill Summary/Abstract The budget for the financial year 2011-2012. A headline spend of A50 Billion. Provision for tax raising, privatisation and costs of maintaining the state. Article I – Indirect Taxation #VAT/sales tax – 30% (exemptions – children’s clothing, food, supplies for children) #Alcohol excise duty – Spirits – 25% Wine – 10% Beer – 15% #Tobacco excise duty – 40% #Fuel duty – 30% Article II – Corporate Tax #Top rate – 12% (companies with incomes in excess of A1 Million) #Low rate – 10% (companies with incomes lower than A1 Million) #Tax breaks will be available to all foreign companies entering Oceana to run infrastructure to the value of 2%. Article III – Personal Taxation *A13,650 – 0% (Tax free allowance) *A13650 – A35,000 – 10% *A35,001 – A75,000 – 15% *A75,001 – A150,000 – 20% *A150,001 and above – 23% *National Insurance – 5% Article IV – Minimum Wage *52 weeks *37.5 hours a week *Hourly rate A7 *Salary A13650Article IV was interpreted as an explanatory note as to the value of the minimum wage rather than a hard lower limit on hours. Article V – Council Funding #Council tax to be linked to income and is set by local councils. Variation between bands must be between 10-20%. Councils are free to set personal allowance and exemptions as they see fit. *A0 – A13650 – Band A *A13651 – A30,000 – Band B *A30,001 – A45,000 – Band C *A45,001 – A60,000 – Band D *A60,001 – A75,000 – Band E *A75,001 – A90,000 – Band F *A90,001 – A150,000 – Band G *A150,001 and above – Band H Article VI – Health Funding #15% (A7.5 Billion) #Single–payer system – details to be brought forward in Healthcare BillA Healthcare Bill was not introduced during the First Parliament. *Medical service insurance – 80% *Public health services – 10% *Emergency services – 10% Article VII – Social Security #10% (A5 Billion) #Welfare and Pension Bill to contain detailsA Welfare Bill was introduced during the First Parliament, but did not pass Stage 2.. *Family and children – 60% *Unemployment – 20% *Housing – 15% *Incapacity – 5% Article VIII – Pensions #10% (A5 Billion) #Details to be brought forward in the Welfare and Pension Billsee above. *Old age – 100% Article IX – Education #15% (A7.5 Billion) #Details to be brought forward in the Education BillA National Curriculum Bill and an Extended Education Bill were both introduced, but did not pass.. *Pre-primary and primary education – 5% *Secondary education – 25% *Post-secondary non-tertiary education 15% *Tertiary education – 55% Article X – Arts Funding #0.5% (A250 Million) Article XI – Defence #15% (A7.5 Billion) #Maintain current defence spending levels to ensure continuity. #Capital provision for modernisation *Military defence – 75% *Civil defence – 15% *R & D defence – 10% Article XII – Infrastructure #5% (A5 Billion) *Roads – 55% *Rails – 25% *Electricity – 15% *Water – 5% Article XIII – Protection #3% (A1.5 Billion) *Police services – 35% *Fire-protection services – 10% *Law courts – 25% *Prisons - 30% Article XIV – Central Government #2% (A1 Billion) *Executive and legislative organs – 75% *General services - 25% Article XV – Other Spending #10% (A5 Billion) #Not-for profit company to oversee the sale of Government utilities to foreign businesses Funding A150 Million to facilitate sales #Regulators to be set-upA Gas and Electricity Bill was introduced during the First Parliament, but did not pass. to ensure fair and balanced competition and adequate provision of services #Mineral extraction – coal, oil, gas, precious metals. #Privatisation of the following utilities: *Energy, water, garbage disposal, telephone communications, internet infrastructure; *Public transport (trams, buses, trains, subway)– with the government to retain operational responsibility for infrastructure (roads and rails); *Councils may bid to set up companies to run transport locally; and *Airlines and airportsNo bills to privatise these industries were introduced during the First Parliament. Article XVI – Capital Investment #5% (A2.5 Billion) a) A200 Million for upgrade of Internet infrastructure b) A150Million for upgrade in energy and water delivery infrastructure c) A250Million for upgrade of port facilities d) A250Million for upgrade of airport facilities e) A450Million for the upgrade of highway infrastructure f) A450Million for upgrade of housing, hospitals and national services g) A75Million for upgrade of Governmental buildings to ensure they are fit for purpose h) A120Million for the construction of a new Parliament building in the Capital i) A350Million for defence modernisation Category:Legislation Category:Budget Category:Transitional Parliament of Oceana